Quick Take

In a move aimed at speeding construction of portions of the Coastal Rail Trail, the Santa Cruz County Regional Transportation Commission announced late Thursday that it is moving to terminate its agreement with current Santa Cruz Branch Line rail operator Progressive Rail and become the common carrier on a portion of the rail line.

In order to move forward with building three segments of Coastal Rail Trail over the Santa Cruz Branch Line railroad tracks, the Santa Cruz County Regional Transportation Commission (RTC) is cutting ties with the current rail operator, Minnesota-based Progressive Rail.

In a news release late Thursday night, the RTC announced it is terminating its agreement with Progressive Rail and becoming the common carrier along the Santa Cruz Branch Rail Line north of Watsonville. The move comes after the commission voted in early December to build 8 miles of the Coastal Rail Trail on top of the rails, rather than next to them as previously planned, as it tries to complete the project within budget and on time, and not jeopardize a $96.6 million grant from the state — the largest active transportation grant ever awarded by the California Transportation Commission.

“This decision marks a necessary step in the development of transportation solutions along the RTC-owned branch line, including the Coastal Rail Trail in the near-term and passenger rail in the long-term,” the release reads. “This action also preserves the existing freight and recreational rail uses along the branch line, while allowing Coastal Rail Trail projects to be implemented along non-operational sections of the line.”

Progressive Rail has consistently opposed railbanking, which is the practice of taking a rail line out of service while still theoretically preserving the corridor for possible future train use. Although the RTC is not considering this practice and is pursuing a different bureaucratic maneuver to build the trail over the tracks, negotiations with Progressive Rail have nevertheless been unsuccessful.

RTC Executive Director Sarah Christensen said in the release that Progressive Rail has been “unwilling to find a workable path forward while making unrealistic and unattainable demands in exchange for their cooperation.” She added that ending the current agreement is necessary to advance the trail and continue pursuing future passenger rail service.

Multiple other factors resulted in the agreement’s termination, according to the release, including Progressive’s failure to fulfill maintenance obligations, which forced the RTC to use taxpayer funds to cover the costs.

The RTC is already requesting proposals from rail operators to continue freight service in Watsonville.

This is a developing story. Check back for updates.

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Max Chun is the general-assignment correspondent at Lookout Santa Cruz. Max’s position has pulled him in many different directions, seeing him cover development, COVID, the opioid crisis, labor, courts...